BrasilAgro Companhia Brasileira de Propriedades Agrícolas (AGRO3) Q3 2026 earnings summary

Executive summary

• Net revenue for the nine months ended March 31, 2026, was R$637.3 million, with adjusted EBITDA of R$42.8 million and a net loss of R$76.1 million, reflecting pressured margins and high financial expenses.

• Revenues from farm sales dropped 97% year-over-year, significantly impacting overall results.

• Strategic decisions included slower soybean commercialization and a revised planting plan to prioritize crops with better risk-return amid volatile commodity prices and high interest rates.

• The sale of part of Fazenda Morotí in Paraguay reinforced the active portfolio management strategy, generating a gain and strong IRR.

• Operations spanned 21 farms across Brazil, Paraguay, and Bolivia, managing 252,424 hectares as of March 31, 2026.

Financial highlights

• Net revenue for 9M26 was R$637.3 million, down 18% year-over-year; adjusted EBITDA was R$42.8 million, a 78% decrease from 9M25.

• Net loss for 9M26 was R$76.1 million, compared to net income of R$76.7 million in 9M25.

• Gross profit dropped to R$37.9 million from R$254.2 million year-over-year.

• Selling expenses rose 16% to R$45.7 million, mainly due to higher freight and storage costs.

• Gain from sale of farms was R$2.1 million, a significant decrease from R$107.9 million in the prior year.

Outlook and guidance

• Planted area for 25/26 is projected at 166,195 hectares, a 4% reduction from the initial estimate, mainly due to strategic adjustments and weather impacts.

• Projected total crop production for 25/26 is 424,509 tons, down 4% from the initial estimate.

• Sugarcane production is estimated at 2.1 million tons with a yield of 79.09 tons/ha.

• Input purchases for the 26/27 harvest are well underway, with significant portions of potassium chloride and phosphates already secured.

• The company continues to monitor regulatory, climate, and geopolitical risks but has not identified material impacts on its financial position or going concern status.